Hess Midstream LP price target lowered to $37 from $41 at Citi

Citi lowered the firm’s price target on Hess Midstream (HESM) LP to $37 from $41 and keeps a Neutral rating on the shares. The firm has updated its estimates on expectations of Chevron (CVX) reducing rig activity in the Bakken, and Citi has lowered its annual EBITDA estimates by 10%-12% throughout the duration of its model, now calling for flat EBITDA in 2026, the analyst tells investors in a research note. Citi adds that while its expected lower capex should allow Hess to continue growing the dividend by over 5% per year while also executing additional buybacks, this will likely be at a slower pace moving forward.